Let’s be honest, we have all been there. You just moved for your studies and need furniture for your new room. You open the IKEA app, ready to design your room and before you know it you’ve spent hours scrolling through sofas, lamps, and rugs, wondering which ones fit together. That is the downside of having too many great options: choice overload is real. In fact, research shows that when consumers are faced with too many choices, they often feel less satisfied and less confident in their decisions (Chernev et al., 2015).
Our team set out to solve exactly that problem. We asked ourselves: what if IKEA’s AR “View in Room” feature could do more than just let you place a single chair in your living room? What if it could design the whole room for you, based on your style, budget, and the mood you are going for?
That is where Generative AI (GenAI) comes in. Imagine snapping a picture of your space, typing “modern cozy with a pop of green,” and watching as an AI-powered assistant creates several fully furnished room designs, all using IKEA products that exist and fit your budget. You can adjust anything you like, swap items, or hit “save design” when it is perfect. It is still your design, just powered by a little AI magic.
Studies show that AR can already boost confidence in purchase decisions by helping customers visualise products in their own homes (Liu et al., 2024). By combining AR with GenAI, IKEA can take this even further, turning shopping into a creative and personalised experience. Our research suggests this could reduce product returns by 15–20% and increase purchase conversions by around 10–15%, like improvements seen in other AI-driven retail settings (McKinsey, 2023).
Beyond customer experience, the integration supports IKEA’s sustainability goals. When customers buy furniture that truly fits their spaces, there is less waste and fewer returns, supporting IKEA’s ambition to become fully circular by 2030. It also strengthens IKEA’s position as a digital innovator, moving from a furniture retailer to a co-creation platform that empowers everyone to design with confidence.
In the end, we realised that GenAI does not replace creativity, it helps it. It helps people design homes that reflect who they are, one room at a time. With fewer headaches, more inspiration, and a design assistant that understands your taste, IKEA could soon be more than a store, it could be your personal interior designer in your pocket.
References
Chernev, A., Böckenholt, U., & Goodman, J. (2015). Choice overload: A conceptual review and meta-analysis. Journal of Consumer Psychology, 25(2), 333-358. https://doi.org/10.1016/j.jcps.2014.08.002
Liu, J. (2025). When Usefulness fuels fear: The paradox of generative AI dependence and the mitigating role of AI literacy. International Journal of Human-Computer Interaction, 1–22. https://doi.org/10.1080/10447318.2025.2544006
McKinsey & Company. (2023). The state of AI in 2023: Generative AI’s breakout year. McKinsey & Company. Retrieved October 10, 2025, from https://www.mckinsey.com/capabilities/quantumblack/our-insights/the-state-of-ai-in-2023-generative-ais-breakout-year
